What is a Community Infrastructure Levy?

The Community Infrastructure Levy (CIL) is a levy that local
authorities can choose to charge on most new built development in
their area in order to raise funding to carry out infrastructure
projects. The CIL Charging Schedule was brought into effect in
the borough on 1 April 2014. It applies to new residential
development and also convenience based supermarkets, superstores
and retail warehouses (net retailing space over 280 sq.m).

Will CIL replace S106 Agreements?

For most residential developments CIL will largely replace
off-site S106 contributions, for example, towards off-site sports
provision or school places. The borough will continue to use S106
agreements to secure affordable housing from residential
developments and essential site specific mitigation from
residential and other types of development that are needed to
enable developments to proceed.

How much will I have to pay?

Eligible developments that receive planning permission from 1
April 2014 will be charged in accordance with the rates/sq.m set
out in the CIL Charging Schedule. For residential development the
borough has five zones within which different rates apply. This can
be seen more clearly on the Residential Charging Areas Map. For
retail development a single rate applies to convenience based
supermarkets, superstores and retail warehouses (net retailing
space over 280 sq.m).

Indexation applies to the Charges from
1st January 2016, see information under "CIL
indexation" and/or in 'Check the CIL Charge for your property'
above

CIL liable development granted planning permission after
1st April 2014 is required to pay the levy. Development
given consent under permitted development rights and implemented
after that date may also be liable to pay CIL. CIL will operate
alongside a scaled-back system of Section 106 agreements covering
site related issues and affordable housing. More information on the
Council’s approach to planning obligations can be found in the
Planning Obligations SPD.

Is my application proposal liable for CIL?

Not all development is liable for CIL.

The following types of planning applications are
liable:-

All applications for full planning permission, Section 73
variations and reserved matters applications if the outline
planning permission was granted on or after 1st April 2014 if
for:

Residential development of one or more dwellings through new
build or conversions even if less than 100 sq.m

The establishment of other residential floorspace such as
extensions, and other ancillary buildings such as stores, garages
if over 100 sq.m (or less than 100 sq.m if it contributes to the
creation of a new dwelling)

Convenience based supermarkets and superstores and retail
warehouses (net retailing space over 280 sq.m) or an extension of
over 100 sq.m to such retail stores.

Depending on the circumstances relief from CIL may be available
- see below.

Development Management Officers will be able
to assist with queries as part of other pre-application discussions
on development proposals. If you are uncertain whether your
proposal is liable for CIL, you should submit a CIL Question
Form with your application (see below) - which is a validation
requirement anyway on CIL liable applications. We can then
work out whether CIL is payable or not.

My planning application is liable for CIL, what do I need to do
now?

You must submit the CIL Question Form with your application if
your proposal is liable for CIL. The CIL Question Form is a
planning application validation requirement.

If the CIL applies to more than one new building a schedule
listing the GIA floorspace of each building should be supplied with
the CIL Questions form if not provided as part of the planning
application.

If the amount of CIL is to be reduced due to the demolition of
buildings in lawful use or re-use of part of an existing building,
each building must be listed separately on the CIL form Q7 and a
plan must be supplied to show the location of the
floorspace/buildings referred to in Q7.

You may also wish to submit an
Assumption of Liability Form 1 at the same time to make
it clear who will be liable to pay the levy. This form must be submitted before development
commences.

If you have read the advice on the website and still have
questions about how to fill in the forms, or CIL relief, or the CIL
process please email CIL@bedford.gov.uk.

If you think you might qualify for relief, you
should speak to the council as soon as possible. You should also
seek agreement to your formal claim before starting work on site,
as in most cases, relief cannot be granted after development has
commenced. If a developer wishes to claim an exemption or relief
from CIL because, for example, they are providing social housing, a
‘Claiming Exemption or Relief Form’ or forms SB1 and SB2 for self
build homes, annexes will need to be submitted once liability
has been assumed. TO CLAIM RELIEF THE FORM MUST BE SUBMITTED AND A
DECISION RECEIVED BEFORE DEVELOPMENT COMMENCES.

If my application is granted, what happens
next?

We will issue a Liability Notice with the
planning Decision Notice. This says how much CIL is payable and
when.

The following must be completed and
submitted prior to commencement of development:-

Form 1 - Assumption of Liability: the person(s)
responsible for paying CIL must send us an Assumption of
Liability Form before commencement. If not, the charge will
default to the owner of the land and there may be additional costs.
If you are submitting an application and will be responsible for
paying the CIL, you can submit this Form with the CIL Question
Form. There are also forms to submit if liability changes before
the scheme commences. It may speed up issuing a liability notice if
this form is submitted before planning permission is
granted.

Form 6 - Commencement Notice: this must be sent to us
with the date that development will commence. If we do not receive
a Commencement Notice a penalty will be added and full payment will
be due immediately. See form below.

Form 2 - Claiming Exemption or Relief: must be submitted
prior to commencement. See form below.

When the Council receives the Commencement Notice a
Demand Notice will be issued for the CIL payment, setting out the
payment due dates in line with the payment procedure.

On commencement of development the landowner or whoever
has assumed liability, should follow the correct payment
procedure.

The collecting authority must issue a receipt for each
payment received.

Payment Instalment Policy

CIL can be paid in instalments in line with
the Council’s CIL payment instalments policy which is available to
download below:-

To take advantage of the Council’s instalments policy,
applicants must follow appropriate procedures, such as submitting a
Commencement Notice at the appropriate time.

CIL Indexation

Under the CIL Regulations CIL payments
must be increased or decreased (index linked) to reflect changes in
the costs of delivering infrastructure between the year that CIL
was introduced to the year that planning permission is granted. The
index we must use is the national All-in Tender Price Index
published by the Building Cost Information Service (BCIS). This
index has increased by 20 % in the past 3 years and
therefore the CIL payable on planning permissions granted in 2017
will be increased by this amount above the rates set out in the
approved charging schedule.

Please note we do not currently use a Liability Notice
reference, please use the planning reference instead.

Permitted Development

In rare cases, permitted development (that is development which
does not require planning permission) may be of sufficient scale to
be liable to CIL if for example a change of use from a building to
residential use occurs after 1st April 2014 when the
building has not been in lawful use for 6 continuous months in the
three years before development starts. You must serve a Notice of
Chargeable Development on us before the development is commenced
unless the development is less than 100 sq.m or the levy rate for
the development is £zero. The CIL charge is then calculated and
applied as though planning permission had been issued.

What happens if I do not pay the charge?

Unlike Section 106 obligations, CIL payment is mandatory
and non-negotiable. If you do not pay on time:-

You will be subject to a penalty without further
notification

Any agreement for you to pay in instalments will be
withdrawn

There are strong enforcement powers and penalties for failure to
pay, including Stop Notices, surcharges and prison terms. these are
set out in CIL Regulations 80-88. The possible consequences of
non-payment are set out in the CIL Regulations 89-110 and are
summarised in CIL Guidance
Note 5, Penalties. PLEASE NOTE THAT THE COUNCIL HAS BEEN
APPLYING LATE PAYMENT SURCHARGES AND LATE PAYMENT INTEREST TO
DELAYED PAYMENTS. NON PAYMENT IS TAKEN SERIOUSLY AND PAYMENT IS
PURSUED THROUGH A LIABILITY ORDER TO THE MAGISTRATES COURT IF
NECESSARY.

What will CIL be used for?

The Council must specify what it intends to spend CIL receipts
on in what is known as a ‘Regulation 123 List’. The Council
approved this list on 5th February 2014. CIL Regulation
123 restricts the use of planning obligations for infrastructure
that will be funded in whole or in part by the Community
Infrastructure Levy, to ensure there is no duplication between the
two types of developer contributions being sought towards the
same project.

A proportion of the CIL funds collected from new developments
granted planning permission after 1st April 2014 is for neighbourhood
funding to address local priorities which in parished areas
will be passed to the parishes.

Appeals

Appeals are only possible on the following
grounds, that the Council:

Incorrectly calculated the amount of CIL. (Before making the
appeal the developer must first request an internal review by the
Council).

Incorrectly apportioned liability between landowners.

Incorrectly determined Charitable Relief.

With regard to residential annexes incorrectly determined that
the development is not wholly within the curtilage of the main
dwelling.

With regard to self build schemes incorrectly determined the
value of the exemption.

Incorrectly applied surcharges.

Deemed the development to have commenced when it did not.

Incorrectly issued a Stop Notice for non-payment.

Appeals normally need to be submitted and determined before
development commences and within 28 days of the Council's decision
except for Liability Notices where a review by the Council must be
made within 28 days and the appeal within 60 days. More information
can be found in CIL Guidance
Note 3 - Appeals and on the Planning Portal - CIL
Appeals.

Don't Miss

Here you will find information on environmental and planning
issues. This section provides a wealth of information including
details on how to make or enquire about a planning application,
rubbish, waste and recycling information.